52% of domain name investors make $100/month or less.

Based on a recent poll at domain name forum NamePros, 21% of domainers operate at a loss, 14% breaks even and close to 18% makes $100 a month or less.  The poll, which asks the question “What’s your average gross profit per month from domaining?” has already received 362 votes during the past two days.  Although the NamesPros audience might not be the perfect representation of our entire industry I believe the poll result so far has to be quite accurate. Making money from investing in domain names is far from easy and the path to profitability is often long and full of challenges.

For various reasons our industry still has a gold rush like image which attracts all sorts of newcomers on a daily basis but unless you started buying domain names in the late nineties it takes a lot of creativity, passion, salesmanship, discipline, money and a crazy amount of hard work to build a valuable portfolio of domain names that generates offers and sales on a consistent basis in today’s market.  Even those of us that manage to turn a profit from our domain name investments have to understand that time is a valuable commodity too. It’s very likely you would have made more money per hour working for your boss or mowing your neighbors lawn 🙂

For a lot of newcomers the learning curve proves to be very steep and the path to profitability too long or challenging. Unfortunately I see a lot of people that lack some of the basic necessary skills needed to succeed in the industry. Not everything can be achieved with hard work alone so for some it would be best to simply take their loss and focus their time and resources somewhere else where it’s more likely they will be successful.

I’ll leave you guys with one of my favorite quoteswhich really resonates with me. “Find three hobbies you love: one to make you money, one to keep you in shape, and one to be creative”. For me, luckily, the hobby that makes me money is domaining 🙂

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Doron Vermaat

Doron has over a decade of professional experience in marketing and business development for technology startups in both Europe and Asia. He is the product guy behind domain name management software, Efty and the founder of High West a specialized recruiter for tech and digital talent. In his spare time, he moonlights as a domain name investor. He lives in bustling Hong Kong with his wife Fay, daughter Isla and their rescue dog Pepper.

7 thoughts on “52% of domain name investors make $100/month or less.

  1. Totally agree. Despite having a couple of 4-letter .COM domains and some others, I haven’t tasted success yet. Do you have any suggestion/advice Doron? I would love to follow your lead to get some money out of my domains.

    Thanks.

  2. Very very true! It’s like a battle against renewals with the occasional fun surprises. My day is made when I get an e-mail saying my domain has been sold, no matter how small the amount is.

  3. I make about $0.000 a month. You can not make money in this business.
    Luckily I make more money than Warren Buffet (percentage wise) investing in the stock market so I can not complain but domaining is not for me and not for 99,999% of people

  4. Interesting read. Would be interesting to see a follow up article about the top 10 reasons why people fail at the domaining business.

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